Archive for 2013

Comment by OptionSage

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  1. OptionSage
    May 28th, 2007 at 6:33 pm

    One way of accounting for a massive move beyond the short option strike is to consider applying a bear call in conjunction with the calendar strangle as opposed to just a short call. The premium will be slightly lower obviously than simply selling the short call (since the bear call involves the purchase of a long call at a higher strike too) however if a huge move up occurred the additional long call – above the strike of the short call- keeps the trade nicely profitable.

    Hope that helps.

Comment by Joel

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  1. Joel
    May 28th, 2007 at 5:26 pm
    Wouldn’t this strategy be compatible with a large number of fairly volatile stocks? I would think that this would be a reasonably conservative strategy especially when employed within an account with portfolio margin. I think that the most concerning part of this strategy would be a large quick movement of the underlying that required a great deal of cash to repurchase either the put or call that was sold short. Is there any other serious concern when considering this strategy?

Comment by jere.wood

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  1. jere.wood
    October 22nd, 2009 at 4:27 pm
    I agree with diamond.  You have done a great job.  I get exasperated sometimes, and frustrated, because I keep missing trades when they run away from me as I wait for them to hit your numbers.    For example this morning I was trying to buy ERY and my first view was 10.81.  You thought it would push down at the open so I was waiting for it to drop a little but it ran away from me so I missed the play again.  While I was trying to buy ERY, ISIL was busy dropping.  When I switched focus from ERY to sell ISIL, it was down so I was waiting for it to hit the sell range of 13.90 to 14.00 as you recommended.  It never came close and I am still holding it, having bought at 14.05.    I did buy ERY this afternoon at 10.72.  I had planned to buy and hold ERY this morning anyway, feeling it was a good bet over the next few weeks or so that oil would be dropping.     I liked your "gamble of the day"  where we could buy the day before and take advantage of the pre-market spike.  So many times a lot of the meat is already gone by the time the market opens and we get what is left over.   The problems I have missing trades are due to my broker and my inexperience.  You keep up the good work, you are doing a good job man.

Comment by Turtle

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  1. Turtle
    June 1st, 2007 at 6:52 am
    Thx Sage

    I was asking the above questions for a more global outlook for all trades rather than the above trade. I thought it might be a good future topic to discuss. It is very helpful to learn “rules of thumb” . You , Phil and others on this site have helped me a great deal to better my trading and to focus on the key elements on trades. Thanks

Comment by smithjones2

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  1. smithjones2
    October 11th, 2011 at 3:47 pm
    French type Revolution?
    Power Abuses and Unfair Taxation
    The monarchs of the Bourbon dynasty, the French nobility, and the clergy became increasingly egregious in their abuses of power in the late 1700s. They bound the French peasantry into compromising feudal obligations and refused to contribute any tax revenue to the French government. This blatantly unfair taxation arrangement did little to endear the aristocracy to the common people.
    France’s Debt Problems
    A number of ill-advised financial maneuvers in the late 1700s worsened the financial situation of the already cash-strapped French government. France’s prolonged involvement in the Seven Years’ War of 1756–1763 drained the treasury, as did the country’s participation in the American Revolution of 1775–1783. Aggravating the situation was the fact that the government had a sizable army and navy to maintain, which was an expenditure of particular importance during those volatile times. Moreover, in the typical indulgent fashion that so irked the common folk, mammoth costs associated with the upkeep of King Louis XVI’s extravagant palace at Versailles and the frivolous spending of the queen, Marie-Antoinette, did little to relieve the growing debt. These decades of fiscal irresponsibility were one of the primary factors that led to the French Revolution. France had long been recognized as a prosperous country, and were it not for its involvement in costly wars and its aristocracy’s extravagant spending, it might have remained one.
    Sounds very familiar to me.  SJ

Comment by stjeanluc

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  1. stjeanluc
    October 7th, 2011 at 2:10 pm

    Data / QCMike – Do you mean for the backtesting? I will probably use a combination of Thinkback in TOS for quotes and my charting software (I used Amibroker and Neuroshell) for the actual technical analysis. I get my data from IQFeed. Since we are dealing with monthly and weekly charts you might be able to get that on Yahoo or MSN I guess. Since I don’t use them I can’t say how good their charting tools has some simple free charts but might not go back enough in the past for serious testing.

Comment by gatsby1965

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  1. gatsby1965
    September 1st, 2009 at 10:26 am
    Thanks David…Noon = Midnight in SNG.
    Any thoughts on why URE is moving down in light of postive data?

Comment by David Ristau

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  1. David Ristau
    September 1st, 2009 at 10:22 am

    Zuko – You can get all data right when its released from my old site. Go to It lists all the pertinent data, results, and links to main sites. Nice tool to use. Sorry about the lateness.

    Gatsby – They report the numbers it appears at Noon ET. Stock is running up into them. Not sure what time that would be in Singapore.

Comment by ilene

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  1. ilene
    February 11th, 2011 at 12:46 am

    Here’s an abstract of a study I found in pubmed.  Pharmboy doesn’t appear to take this very seriously (from what I can tell via an email). I happen to get very severe headaches from diet soda with aspartame – about 6 oz will do it.  So whatever the effects, I’m very sensitive to that particular one (according to the abstract below: "changes in regional brain concentrations of catecholamines, which include norepinephrine, epinephrine and dopamine"). 

    Direct and indirect cellular effects of aspartame on the brain.

    Humphries PPretorius ENaudé H.

    Department of Anatomy, University of Pretoria, Pretoria, Gauteng, South Africa.

    Comment in:



    The use of the artificial sweetener, aspartame, has long been contemplated and studied by various researchers, and people are concerned about its negative effects. Aspartame is composed of phenylalanine (50%), aspartic acid (40%) and methanol (10%). Phenylalanine plays an important role in neurotransmitter regulation, whereas aspartic acid is also thought to play a role as an excitatory neurotransmitter in the central nervous system. Glutamate, asparagines and glutamine are formed from their precursor, aspartic acid. Methanol, which forms 10% of the broken down product, is converted in the body to formate, which can either be excreted or can give rise to formaldehyde, diketopiperazine (a carcinogen) and a number of other highly toxic derivatives. Previously, it has been reported that consumption of aspartame could cause neurological and behavioural disturbances in sensitive individuals. Headaches, insomnia and seizures are also some of the neurological effects that have been encountered, and these may be accredited to changes in regional brain concentrations of catecholamines, which include norepinephrine, epinephrine and dopamine. The aim of this study was to discuss the direct and indirect cellular effects of aspartame on the brain, and we propose that excessive aspartame ingestion might be involved in the pathogenesis of certain mental disorders (DSM-IV-TR 2000) and also in compromised learning and emotional functioning.

Comment by Zuko775

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  1. Zuko775
    September 1st, 2009 at 9:50 am
    David, what is the best place to get the Housing Data ASAP?



#1 Performing Global Macro Hedge Fund Sees More Shorts Opportunities Ahead As China Bursts

By Jacob Wolinsky. Originally published at ValueWalk.

Crescat Global Macro Fund update to investors on 1/19/2019

Crescat Global Macro Fund and Crescat Long/Short fund delivered strong returns for both December and full year 2018 in a difficult market. Based on ...

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Zero Hedge

Johns Hopkins, Bristol-Myers Face $1 Billion Suit For Infecting Guatemalan Hookers With Syphilis 

Courtesy of ZeroHedge. View original post here.

A federal judge in Maryland said Johns Hopkins University, pharmaceutical company Bristol-Myers Squibb and the Rockefeller Foundation must face a $1 billion lawsuit over their roles in a top-secret program in the 1940s ran by the US government that injected hundreds of Guatemalans with syphilis, reported Reuters.

Several doctors from Hopkins an...

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Guest author David Brin — scientist, technology consultant, best-selling author and futurist — explores the records of Democrats and Republicans on the US economy in the following post. For David's latest posts, visit the CONTRARY BRIN blog. For his books and short stories, visit his web...

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Stock declines did not break 9-year support, says Joe Friday

Courtesy of Chris Kimble.

We often hear “Stocks take an escalator up and an elevator down!” No doubt stocks did experience a swift decline from the September highs to the Christmas eve lows. Looks like the “elevator” part of the phrase came true as 2018 was coming to an end.

The first part of the “stocks take an escalator up” seems to still be in play as well despite the swift decline of late.

Joe Friday Just The Facts Ma’am- All of these indices hit long-term rising support on Christmas Eve at each (1), where support held and rallies have followed.

If you find long-term perspectives helpf...

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Digital Currencies

Transparency and privacy: Empowering people through blockchain


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Blockchain technologies can empower people by allowing them more control over their user data. Shutterstock

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Blockchain has already proven its huge influence on the financial world with its first application in the form of cryptocurrencies such as Bitcoin. It might not be long before its impact is felt everywhere.

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Courtesy of Blain.

In last week’s recap we asked:  “Has the Fed solved all the market’s problems in 1 speech?”

Thus far the market says yes!  As Guns n Roses preached – all we need is a little “patience”.  Four up days followed by a nominal down day Friday had the market following it’s normal pattern the past nearly 30 years – jumping whenever the Federal Reserve hints (or essentially says outright) it is here for the markets.   And in case you missed it the prior Friday, Chairman Powell came back out Thursday to reiterate the news – so…so… so… patient!

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Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.


This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...

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Free eBook - "My Top Strategies for 2017"



Here's a free ebook for you to check out! 

Phil has a chapter in a newly-released eBook that we think you’ll enjoy.

In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

This chapter isn’t about risk or leverage. Phil present a few smart, practical ideas you can use as a hedge against inflation as well as hedging strategies designed to assist you in staying ahead of the markets.

Some other great content in this free eBook includes:


·       How 2017 Will Affect Oil, the US Dollar and the European Union


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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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About Ilene:

Ilene is editor and affiliate program coordinator for PSW. She manages the site market shadows, archives, more. Contact Ilene to learn about our affiliate and content sharing programs.

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